71.   Administration officials have said they were trying to verify suspected illicit transfers before deciding whether to invoke sanctions as mandated under US law.

72.   But this has enabled Baghdad to highlight the inefficiencies of the oil-for-food programme to portray sanctions as a source of misery and death of children.

73.   Costa Rican President Jose Maria Figueres had protested the US move toward sanctions as unfair, claiming his country was a victim of the EU quotas.

74.   The Serbian president has demanded the lifting of sanctions as a prior condition.

75.   The summit idea was however rejected by Belgrade which demanded the lifting of sanctions as a prerequisite for recognition of Bosnia and Croatia.

76.   This raised the stakes higher, as North Korea has said it would regard sanctions as a declaration of war.

77.   Washington is expected to threaten massive trade sanctions as the anniversary of the deal nears.

78.   Washington has threatened to slap Japanese cargo companies with trade sanctions as of mid-July is the dispute has not been settled.

79.   News reports speculated that the United States was only threatening sanctions as a ploy to obtain concessions.

80.   North Korea has repeatedly said that it would regard sanctions as an act of war and would retaliate accordingly.